How to use Payability

so when I first started researching selling on Amazon I saw the same thing come up over and over again you gotta use pay ability you got to try pay ability everyone was talking about pay ability now coming from eBay I don't really know what pay ability is so instead of trying to figure it out myself I figured I was just going to pay abilities headquarters and ask them in person I'm taking along with me I think this is going to be a really interesting conversation I'm really excited for it pay ability is new for me and I know it's going to be new for a lot of you guys too so they'll dive into this together and learn together what pay ability has to offer and why it's so important but if you are ultimately going to use pay ability I would ask that you use the affiliate link underneath this video is the first link under this video and that's not gonna cost you guys anything extra to use that link but if you do use it puts a little money back into this YouTube channel and I'm gonna try to work out a deal with Vicky over at pay ability to see if we can kind of get you guys a special bonus if you sign up through that link so let's see what we can do about that I think I'm almost here so I'll catch you guys inside the office thank you we give us what I'm Nikki marketing manager here at cable so we have five hands over here underwriting process narrow then they're all based in the US dedicated customer service team but he's in a life so guys what's up guys I'm here with Vickie Sullivan from Payne building calm here at their headquarters in New York City thought I would come down asking questions about pea building so how you doing Vickie hey thanks for coming in doing great thanks it's really great to be here because I have a lot of questions about pay ability I know a lot of my audience members are brand-new to Amazon maybe a lot of them haven't heard of pay ability though I'm sure a lot of you have so maybe if you just start out telling us what pay ability is kind of in a nutshell just so kind of introduce it to everyone out there hey sellers we're a financing company designed just for marketplace sellers so just for the unique needs of marketplace sellers and usually have two products when it's instant access which I think your might be already familiar with well weird beyond to 80% of your Amazon earnings every business day these are sales that you've already made so you don't have to worry about going into debt it's just your money faster getting paid on your own terms the way it works is will advance you 80% of your earnings every business day the remaining 20% stays in reserve to cover returns and charge back so then that's released to you on Amazon's regular 14-day payment terms - or 2% be on gross sales and then we have another product it's a little bit newer instant advance will advance you up to a month's worth of your earnings so you can you know make that big inventory buy or take advantage of big opportunities and that is paid around sick this is a 16 to 20 week payment period and it's about 1% a week so the sooner you pay it off the less you'll pay for that advance having consistent cash flow is so important especially on a platform like Amazon or any marketplace these marketplaces have generated pretty much unlimited demand among consumers but as you probably have already realized a lot of financing options are still very limited so you know when you have daily access to cash you can avoid a stock out which you know a really permanent effect on your business as far as not only are you losing sales today but you're losing sales tomorrow because you're gonna lose your place within Amazon or within the search parameters that you work so hard to get so you definitely want if you are having trouble keeping up with demand or keeping inventory in stock this is definitely a great option Wow it sounds like it does a lot to help sellers but I do have a lot of questions that came up during that maybe you talked briefly about this 14-day Amazon turnaround with their money because this is something that coming I'm coming from eBay so this is certainly new for me can you kind of explain what that is Chernobyl yeah I mean Amazon pays normally every 14 days sometimes they will hold your payment back and pay even lock and take even longer to pay you but with pay ability you can get more consistent cash flow you always know when you're getting paid and that is the next business day so that's pretty awesome I told them that

pay ability gives them the best of both worlds in that you get the demand that the demand the customers of Amazon you know with the daily payment terms of eBay so I mean hear that a lot from people who have made the same journey is you cool so I am pretty new to Amazon and something else you mentioned was this out of stock issue with Amazon and that's something that's kind of new for me coming from eBay so what can you expand on that a little bit explain a little bit more about the problem with that and how that arises for sellers sure um you know Amazon stock out that's definitely something you do not want to happen but it's actually happens as not only you losing sales today and that people are going to you there's no inventory there to buy but you're also you know at Amazon is kind of a search engine within itself only its you know search engine for buyers and so all of the keywords that you worked really hard to find and use in your listings and all the sponsor sponsored product see response sponsored dollars you put behind your listings that couldn't really go to waste if you end up stocking out because you will not only are you gonna lose sales today but Amazon is not going to favor that listing as much because you did stock out and they obviously want products therefore ready for consumers to buy so again not only you losing sales today but you're losing sales tomorrow so daily cash flow could definitely help with that issue and you know help you keep inventory stock in stock and keep up with demand well so Amazon will actually punish you if your idea was that stop yeah you could lose your place with it was on it it'd be a lot harder for consumers to find you out so you want to make sure you always have that consistent stock and never at least at the very least you don't want it to be a issue of not having enough money we're not getting the money that you're always supposed to get that words that's what people B's helping like yeah absolutely I mean you could obviously you know take out a loan or put this the additional stock you need on a credit card but a lot of sellers really like the daily payments and cashing out every day because it's just using its running your business with your own money and getting that consistent cash flow so not only do you have the cash to you know fill as much inventory as you can possibly sell but you're also staying out of debt with the daily with specially was it with Ellie came in and you're not running the risk if you know putting a bunch of inventory on a credit card and then sir for some reason sales scaling down and you know that you're stuck with all that credit card debt and then on the other hand and on the you know more happier note it was skiff sale is still scale up as they often do you'll be able to cash out every day and have a financing solution that really grows with you unlike loans or credit cards where you know whether it's you know a hundred dollars or a million dollars everybody comes a credit limit so but with daily payments you just keep cashing out and keep buying inventory and and staying in stock so you know your credit limit it doesn't really matter here great it's just Amazon as much as you can sell so there are certain times of year that you think that pay ability or this kind of service is more important than other times of years other times of the year yeah absolutely we definitely do have a lot of customers that you know use this all year round just to grow grow consistently but then we have a lot of seasonal customers as well are particularly doing during q4 where you know there's very few times that you cash out and a lot of sales going on during the holiday shopping rush so we do have a lot of customers that just use us during the holiday rush we have a 30 day cancellation policy so no cancellation fees or anything like that so it's really easy to use those on a seasonal basis very cool it's awesome so what is it that you do here at capability I'm the marketing manager here at pay ability and I help run our social media partnerships newsletter and also work with customers to engage 3 which is why you're doing this interview then yeah so how much is a cost to for us as sellers to use pay building sure so our daily are you the paints products instant access is typically a two percent flat fee on gross sales but that bit really varies depending on you're set the size of your sales and also how long you've been a customer because we do have a loyalty program that rewards customers with higher advance rates and lower fees over time Wow so that can actually go down from 2% absolutely I can go all the way down to 1% and you up to 98% advance rate cool and I was reading somewhere online that's there's kind of a way to counteract that with the credit card the 2% back credit card is that right yeah we have a

prepaid mastercard that we also offer this that's a virtual card not if it's not a physical card currently and yes it does give 2% cash back so it's definitely a way to mitigate your fees if that's the best solution for you but other than that is knows like monthly fee or anything it's just that just the 2% but they're cool and once pay will be set up does it require you have to work on every month you have to go in and do anything or just kind of run it in the background payout to your bank account how does that work yeah you do sign in and encash not every business day we're coming up with some ways to make that even more seamless process but right now it's just about two seconds of your day cool hey nice so when paid bility gets started who started why kind of what was the vision behind the whole business yeah pay ability started in 2014 and actually started as a factoring service for developers and online publishers that have really long payment terms of 60 to 90 days and it really came about to really shorten those payment terms and give those businesses the cash flow they need they needed because they did not have it with those long those with those long payment terms in 2016 they started working with Amazon sellers and really that because especially because of the stock out issues I mentioned before that Amazon sellers in the marketplace sellers really needed this capital faster and needed fast capital you know even more than that online publishers do in the by the end of 2016 we were working basically all with Amazon dollars since 2016 we have advanced we've advanced almost a billion dollars in payments to design marketplace dollars Wow I mean how many sellers is that do you know how many active sellers you have or yeah we currently are around 2,000 customers give any success stories of users that you can share with the audience sure I have to I wanna share today we have one that's a seller called gifts fulfilled they're actually featured on our YouTube channel we've been out to Maryland and films them and they're a really cool business model they are a gift basket company that sells gift baskets on Amazon for you know any occasion and get-well-soon Mother's Day or whatnot and they actually hired hire disabled adults to put together the gift baskets and since filming she is moved to a bigger facility hired even more people with disabilities and hired her first full-time employee we also have another success story which is elevated and that is a vegan nutrition drink private label business on Amazon and it was started by two plant-based bodybuilders actually right here in New York and they couldn't find good plant based option that was saved and effective for a bodybuilding supplement so they created one of their own and it was so successful that they couldn't keep it in stock they're constantly stocking out and the served with pay ability and not only do they did they scale their business and make every sale they possibly could they also launched two new products wow that's incredible that's really cool a lot of people don't know but I'm actually vegan myself so I'm actually pretty interested in that product also check it out later on and it's really cool that you were able to help them scale up where otherwise they wouldn't have access to that capital is that I mean it not only you know gives you access your money and the ability to fill inventory in the way you want to but it also is a huge time saver because you're not wait you're not sitting there wondering every day you know where is this money coming from how am I going to fill inventory so you know you just cash out and then you have time to developing products and grow other aspects of your business so that's you know another aspect of pay ability that I think that you know these bodybuilders he's speaking about like the body alerts really really happy wise on by you know being able to launch new products now that they weren't you know stressed about keeping inventory on the show yeah I think that's a very good point because you know I talk a lot about a light you channel outsourcing work that's distracting to the overall mission of your company so for myself I outsource any task that just feels like it's taking up too much of my time it's not really growing my business and it sounds like having to deal with all this these finances trying to keep things in stock trying to worry about how you're gonna get enough money to fulfill orders or to get items in stock to really be distracting to a company absolutely yeah stressful as well so it really makes that stress away definitely and one of the things I've noticed since I started selling on Amazon myself is that the way I was on set up with these two weeks is really actually true I got my bookkeeping because at the end of the month I'm writing my numbers in like where where's that $10,000 oh yeah

Amazon still has it and I'm sure it's something I would get used to over time but you know he's kind of throws off you know what my profit looks like for the month because it's there it's just not in my bank account so to speak it's also not reinvested in your business exactly yeah which is big waste especially for two weeks so does anyone here or yourself include to have any e-commerce experience yourselves I do sell on Poshmark from time to time and it's many customer service does sell on Etsy but being around all these amazing sellers all the time I definitely so there's something that crosses my mind to you know start selling myself you definitely have some good friends that are really making a Poshmark right now they're doing really well with that platform yeah all these parts have to have huge demands yeah potential so there you go that's everything you need to know about pay ability calm and how it can help you as an Amazon seller personally I'm really excited to use it because I have a lot of capital tied up in Amazon right now as I'm waiting for them to pay me out in two weeks and as dropshippers we have a high volume of sales on Amazon so a lot of money is going to be tied up for that time period which can prevent a lot of people from effective sellers on the platform and it sounds like pay ability is the answer to that problem so I'm gonna be trying it out I'll let you guys know how it works for me and I'll make videos about it so if you don't want to miss those videos make sure that you do subscribe to the channel and again if you are going to ultimately use pay ability I would appreciate if you would use that link underneath this video I think you kind of hooked us up because originally I was only supposed to get you guys two hundred dollars every time you sign up but now you're going to get two hundred and fifty dollars if you sign up using my link which is free money for you so if you're gonna use it or you want to even try it go ahead and try it like she said it has a 30-day no questions asked cancellation policy so I'm gonna give it a shot and you guys might want as well so the link is underneath this video is the first link although otherwise guys thanks so much for watching this video and I'll see you next time